Bulls Survive The Week: Weekend Wrap Up

Bulls absolutely needed a good upside move to close the week and start July as written yesterday, and they delivered. I wrote on Twitter yesterday that July 1st is seasonally the most bullish day of the year on average, green 85% of the time over the past 20 years, and the seasonal tendency tracked today with a firm green day. July in general is a seasonally a very strong month (third strongest on average), after a fairly bearish seasonal May to late June which tracked.

I trade price action *only* (with 0 exceptions or additions, ever) but the seasonals are good context to keep in mind while taking into consideration the technical setup. As I wrote yesterday, it was absolutely critical bulls put in a green day today and defend the 3800 level, which keeps the setup for continued relief rally in play. We broke out of this level last Friday, and held it today. The question now becomes, can bulls keep it going? I’ll get into that today, talk the setup next week, and discuss the broader bearish pattern forming here which bulls *must* pay attention to